USNZ Profile
The Xtrackers Net Zero Pathway Paris Aligned US Equity ETF is designed to provide investors with exposure to U.S. large- and mid-cap companies that adhere to specific environmental, social, and governance (ESG) criteria. The fund's investment strategy involves allocating at least 80% of its net assets, including any borrowings for investment purposes, into equity securities of U.S. companies. These companies are selected based on their alignment with the Paris Agreement’s climate goals and the Net Zero Investment Framework, reflecting their commitment to reducing carbon emissions and supporting sustainable practices.
The underlying index targets companies that demonstrate a strong commitment to ESG principles and are actively working towards achieving net zero carbon emissions. The index comprises firms that meet stringent ESG requirements, focusing on those that contribute positively to the transition to a low-carbon economy. By investing in this index, the fund seeks to support companies that are not only financially robust but also socially responsible and environmentally sustainable.
The Xtrackers Net Zero Pathway Paris Aligned US Equity ETF is crafted to offer investors an opportunity to participate in the growth of U.S. companies while aligning with global climate goals. The fund's approach includes evaluating companies based on their sustainability practices, emissions reduction targets, and overall ESG performance. This alignment with international climate agreements helps ensure that the investments are in line with long-term environmental objectives and contribute to the global effort to combat climate change.
Investors should be aware that while the fund aims to provide ESG-aligned investment opportunities, it remains subject to market risks and the potential for fluctuations in equity securities. The focus on companies that meet specific ESG criteria may lead to a portfolio that differs from traditional benchmarks, which could impact performance. As such, investors should carefully consider how this fund fits within their broader investment strategy and sustainability goals before committing capital.
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